TRENTON — The Atlantic Club casino has rejected a buying offer from online-gambling giant PokerStars after months of negotiations, the casino announced today, throwing a wrench in Atlantic City's plans to reinvigorate itself.

“Our purchase agreement with PokerStars has been terminated in accordance with its terms," Atlantic Club COO Michael Frawley said in a statement today, declining to give further details on its decision.

The parent companies behind PokerStars, a global leader in online poker and other games, had been in talks since the fall to buy the casino, which reported a $43 million net loss for 2012.

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Industry watchers and state lawmakers had been anxiously awaiting a sale as one way to improve Atlantic City's economic outlook. The deal also would have marked the first big breakthrough in New Jersey's newly authorized online-gambling market, although casinos like the Borgata and Caesar's are also planning to go big into that niche.

In February, New Jersey became one of the first states in the country to legalize online gambling, which Gov. Chris Christie expects will become a $1.2 billion industry that brings in $180 million in revenue for his upcoming budget.

But the new law requires companies to have a physical presence in New Jersey. The Atlantic Club, which employs around 1,800 workers, was PokerStars' choice.

"That's not good news for Atlantic City for sure," said state Sen. Raymond Lesniak (D-Union), who had been pushing for the deal. "Unless the Atlantic Club can find a white knight to invest in its operations, they're going to be a couple thousand people out of work, which will also have a broader impact on Atlantic City's recovery. I hope there's a Plan B."

PokerStars, whose executives have battled accusations of fraud and money laundering from federal authorities in recent years, had been facing mounting opposition from competitors and others who said they were troubled by its history.

A spokesman for the company did not immediately respond to a request for comment.

Assemblyman Ralph Caputo (D-Essex) said PokerStars' potential entry into New Jersey was "disconcerting" and applauded the Atlantic Club's decision to reject the offer.

"PokerStars is a firm with a sordid history of criminal accusations of illegal gambling, money laundering, bank fraud, wire fraud and its founder remains under federal indictment for these charges," Caputo said. "We all want Atlantic City to emerge from this economic slump as the thriving tourist attraction it once was in the past. ... We do this by making the right choices about which firm we go into business with."

Frawley said the casino "remains committed to the aggressive pursuit of the opportunities presented by online gaming," and sounded optimistic notes about its future.

"In the interim, our intentions are to maintain our year over year market share gains through our unique brand positioning as ‘the best deal in Atlantic City,'" he said. "The Atlantic Club’s 2013 revenue and net revenue trends are proof positive that customers are rediscovering us and our popularity is higher than ever."